A Bank of America executive known for his strict guidance of junior bankers has been reassigned to a new position at the bank following the death of a junior banker who had been working 100 hours a week.
Gary Howe is He was the head of Bank of America's Financial Institutions Group (FIG) and was known for not strictly enforcing the 80-hour workweek cap rule for junior bankers.
Former Green Beret Leo Lukenas III, who worked for Howe, died suddenly in May at the age of 35. Until his death, he was working around the clock to put together major mergers.
A few weeks ago, Lukenas complained about his working hours and was considering requesting a 10 percent cut in his salary in exchange for fewer hours and more sleep.
Gary Howe, head of Bank of America's Financial Institutions Group (FIG), is known for not strictly enforcing the 80-hour workweek rule for junior bankers. Ta
Former Green Beret Leo Lukenas III died on May 2, just one year after working in a demanding investment banking job.
Howe, now a senior bank executive, has been stripped of his oversight of the division, and some believe it may be only a matter of time before he leaves the bank permanently.
Howe's boss, the bank's CEO and chairman, Brian Moynihan, is known for not firing employees, preferring instead to send a signal by demoting them.
Howe, 54, was stripped of his responsibilities over the fintech investment banking team in August, significantly reducing his powers.
Bank of America is known for handling internal problems quietly, often through pay cuts and job changes rather than outright layoffs, making it difficult for executives to stay on long-term. There is.
No disciplinary action has been taken against Howe, but about 50 of the 150 employees in his fintech division were reportedly reassigned to other groups last week. Bloomberg.
Loukenas' death highlighted the harsh conditions and excessive hours faced by young bankers.
Mr. Howe's boss, Brian Moynihan, the bank's CEO and chairman, has a reputation for not firing employees, preferring instead to send a signal by demoting them.
The incident has also sparked debate over whether the culture in the financial industry is simply too demanding or whether adequate safeguards are in place for employees.
Legal experts have suggested the bank may be distancing itself from Mr. Howe to reduce the potential legal fallout from Mr. Lukenas' death, but the young banker's long hours There is no concrete evidence that labor directly contributed to his death.
Still, Lukenas' death, reportedly caused by a fatal blood clot, came after a long period of strenuous labor, and some family members believe the pressures he faced at work may have played a role. There is.
Howe has never publicly commented on the incident and deleted his LinkedIn account after the incident.
Despite his reduced supervisory responsibilities, Mr. Howe will continue to be a valued leader at FIG Group, said Matthew Corder, Head of Global Corporate and Investment Banking.
“We have the full support of Gary as the leader of our Global Financial Institutions Investment Banking Group, and we will continue to invest in this major franchise,” said Corder. New York Post.
Howe himself had a reputation for pushing junior bankers to their limits, which led to complaints from those who worked for him.
Those who have worked with him at UBS criticized his management style and the long hours he required to complete tasks such as preparing pitch books, which often resulted in deals that never materialized.
Former Green Beret and Bank of America investment banker Leo Lukenas III, 35, died in May after working 100 hours a week. He leaves behind a wife and two children.
His tough personality continued at Bank of America, where he pushed his team hard, enforcing a much stricter return-to-office policy post-pandemic, requiring employees to arrive by 9:30 a.m. four days a week. Ta.
This summer, the bank introduced stricter measures to monitor employees' working hours, introducing a new system requiring junior bankers to report hours worked daily rather than weekly.
This change is wall street journal Investigation found that some managers underreported their hours, told employees to ignore an 80-hour week limit established more than a decade ago, and required approval for exceptions. has become clear.
The limit was put in place after the death of an intern who worked nearly 72 hours straight.
But sources believe that even with these rules in place, some junior bankers like Lukenas are working well above the recommended limits.
Mr. Lukenas, who joined Bank of America in March 2023, lived in Brooklyn with his wife and two young children.
According to his loved ones, the former Army Special Forces member turned to banking to “pursue new opportunities for his family.”
Bank of America introduced a time management tool that lets employees specify how they spend their time (file photo)
At JP Morgan, junior staff are already required to enter their working hours on timesheets (photo)
People close to him said he had expressed dissatisfaction with the long hours and strain on his personal life, talked with recruiters about a possible job at a rival bank, and was considering leaving.
His death came just days after he completed the $2 billion merger of UMB Financial and Heartland Financial.
One of BoA's junior bankers said of Lukenas' death: “I think what we all want is some sort of acknowledgment of what happened, or at least work-related.'' “We do not completely deny the fact that there may have been.”
“And to at least start a dialogue about how we can make the working lives of junior bankers better, because it's long overdue. And if anything, I believe the situation is getting worse.” .”
Lukenas served as a Green Beret for 10 years, according to his family.
Lukenas is survived by his parents, wife, and twin brother Les, who is also a Green Beret.
Howe attended Lukenas' funeral with about 50 Bank of America employees, including executives.
a Donation page The fund was established in his honor by the nonprofit organization 51 Vets with a goal of $1 million.
The long-term impact this incident will have on Bank of America's internal culture remains to be seen, but rival banks are also making changes.
Last month, JPMorgan, one of Bank of America's main competitors, imposed its own cap on work hours for junior bankers, capping them at 80 hours a week.
Whether these moves result in lasting changes to Wall Street's high-pressure environment remains to be seen as employees and insiders wait to see how the industry responds to increased scrutiny.
